^ 635 
US 



64th Congress, ) SENATE. j Document 

1st /Session. ) i ^^ ^gg^ 



TRADE AGREEMENTS ABROAD. 



MESSAGE 

FROM THE 

PRESIDE.^! OF THE UNITED STATES, 



TRANSMITTING, 



IN RESPONSE TO A SENATE RESOLUTION OF JUNE 29, 1916 A COM- 
MUNICATION FROM THE SECRETARY OF STATE SUBMITTING A 
REPORT AS TO THE CHARACTER, FORM, AND PURPOSE OF THE 
AGREEMENT CONCLUDED BY THE ALLIED NATIONS AT PARIS 
REGARDING THEIR FUTURE JOINT AND SEVERAL INDUSTRIAL 
AND COMMERCIAL INTERESTS. 



July 7 (calendar day, July 8), 1916.— Ordered to be printed. 



/'> the Senate of the Unired States: 

In response to the resolution of the Senate of June 29, 1916, request- 
ing the President to obtani information, as far as possible, as to the 
liaracter, form, and purpose of the agreement or treaty concluded by 
10 alhed nations at Pans regarcUng their future loint and several 
idustrial and commercial interests, I transmit herewith a report of 
.:j the Secretary of State furnishing the information requested so" far as 
!> It IS now in the possession of the Department of State. 

t rr ^liT TT WooDRow Wilson- 

[ Ihe White House, 

"'s Washington, July 10, 1916. 



2 TRADE AGEEEMENTS ABROAD. r^ „ 

The President: 

The undersigned, the Secretary of State, to whom was referred by 
your direction the resolution of the Senate of the United States dated 
June 29, 1916, and reading as follows: 

Whereas it has been widely stated in the public press that a conference was recently 
held in Paris, France, by authorized representatives of several of the Governments 
of leading industrial and commercial nations of Europe, now* engaged in the Euro- 
pean War as allies of France, with the object and purpose of arriving at an agree- 
ment between them with respect to their future joint and several industrial and 
commercial interests; and 
Whereas it is also similarly stated that a commercial treaty was entered into at said 
conference between France, Great Britain, and other allied countries, which treaty 
it is alleged is now being drafted and is to become operative after the end of said 
war, with the declared object and purpose of establishing a boycott against the 
enemies of the high contracting parties to said treaty, both during the war and 
after the war, and also to promote commercial independence from the central 
powers; and 
Whereas in a statement relating to said treaty, issued by the British Board of Trade, 
published in the American press, it is stated, among other things, that "The allies 
declare their common determination to insure the reestablishment of countries 
suffering from acts of destruction, spoliation, and unjust requisition, and decide 
to join in devising means to secure the restoration of those countries by giving to 
" them a prior claim on raw materials, industrial and agricultural plants and stock 
and mercantile fleets, or by assisting them in reequipping themselves in these 
respects"; * * * that "The allies are to conserve all their natural resources 
during the period of reconstruction after the war for common use '' : that " In order 
to defend their commerce against economic aggression resulting from dumping or 
any other mode of unfair competition, the allies decide to flx by agreement a period 
during which the commerce of the enemy powers will be submitted to special 
treatment and the goods originating in their countries will be subjected to proliibi- 
tion or to a special regime of an effective character"; * * * that "The allies' 
mutual trade is to be fostered in every possible way"; and that "The above steps 
are to be put into operation immediately": Therefore be it 

Resolved, That the President of the United States be, and hereby is, requested to 
ascertain and send to the Senate at the earliest practicable moment exact information 
so far as that may be possible, as to the precise character, form, ami full purpose of 
this agreement or treaty, especially with the view of disclosing to the Senate whether 
and to what extent neutral nations, especially the United S^tates, may be affected 
thereby — 

has the honor to make the following statement: 

Instructions were sent by cable in June last to the American 
Embassy at Paris to study, in cooperation with the consul general, 
very carefully the deliberations of the commercial conference to be 
held in that city by the allies and to report promptly all information 
which they were able to obtain. 

The department has now received a dispatch from the American 
Embassy at Paris inclosing, with translation, the recommendations 
of the economic conference of the allies which sat in Paris from the 
14th to the 17th of June, 1916, together with a list of the delegates 
from the various countries represented. A copy of this dispatch is 
submitted for communication to the Senate if deemed appropriate. 

Respectfully submitted. 

Robert Lansing. 

Department of State, 

Washington, July 6, 1916. 



D. Of D. 
JUL 17 IS16 



TEADE AGEEEMENTS ABEOAD. 3 

No. 3311. 

Paris, June 22, 1916. 
The Secretary of State, 

^yas}^ington. 

Sir: In confirmation of my telegram No. 1449, of the 20th instant, 
I have the honor to inclose herewith in copy and translation, the 
recommendations of the economic conference of the allies which sat 
in Paris on the 14th, loth, 16th, and 17th of June, 1916, together 
with a list of the names of the delegates from the various countries 
represented. 

These recommendations apply to two separate periods — the period 
of the duration of the war and the period of reconstruction after the 
termination of hostilities. 

For the first period, the recommendations have reference to meas- 
ures for the prohibition of trade with the enemy countries and for the 
elimination of the enemj^ firms in the allied countries. 

For the second period the measures adopted are designed to give the 
allied countries a prior claim on their own natural resources and to 
prevent the dumping of merchandise of enemy manufacture or origin. 

The commission also recommended permanent economic measures 
for rendering the allied countries economically, industrially, and 
agriculturally independent and -for encouraging trade relations be- 
tween the allied countries by the improvement of shipping, tele- 
graphic, and postal facilities. 

I have the honor to be, sir, your obedient servant. 

For the ambassador: 

Robert Woods Bliss. 



[Translation.] 

Economic Conference of the Allied Governments. 

The representatives of the allied Governments have met in Paris, 
Mr. Cleiftentel, minister of commerce, presiding, on the 14th, 15th, 
16th, and 17th of June, 1916, for the purpose of fulfilling the mandate 
which was confided to them by the conference of Paris on March 28, 
1916, to put into practice their solidarity of views and interests and 
to propose to their respective Governments suitable measures for 
realizing this solidarity. 

They perceive that the central powers of Europe after having 
imposed upon them their militar}' struggle, in spite of all their efforts 
to avoid the conflict, arc preparing to-day, in concert with their 
allies, a struggle in the economic domain which will not only survive 
the reestablishment of peace but, at that very moment, will assume 
all its amplitude and all its intensity. 

They can not in consequence conceal from themselves that the 
agreement which is being prepared for this purpose amongst their 
enemies has for its evident object the estabhshmeiit of their domina- 
tion over the production and the markets of the whole world and to 
impose upon the other countries an inacceptable hegemony. _ 

In the face of such a grave danger the representatives of the 
allied Governments consider that it is their duty, on the grounds of 
necessary and legitimate defense, to take and reahze from now 



4 TEADE AGREEMENTS ABROAD. 

onward all the measures requisite on the one hand to secure for them- 
selves and the whole of the markets of neutral countries full economic 
independence and respect for sound commercial practice and on the 
other to facilitate the organization on a permanent basis of this 
economic alliance. For this purpose the representatives of the 
alhed Governments have decided to submit for the approval of their 
Governments the following resolutions : 

(a) measures for war period. 

I. 

Laws and regulations prohibiting trading with the enemy shall be 
brought into accord; for this purpose: 

(a) The allies will prohibit their own subjects and citizens and all 
persons residing in their territories from carrying on any trade with 
the inhabitants of enemy countries of whatever nationality, or with 
enemy subjects, wherever resident, persons, firms, and companies 
whose business is controlled wholly or partial^ by enemy subjects 
or subject to enemy influence, whose names will be included in a 
special list. 

(b) The allies will also prohibit importation into their territories of 
all goods originating or coming from enemy countries. 

(c) The allies will further devise means of establishing a system of 
enabling contracts entered into with enemy subjects and injurious to 
national interests to be canceled unconditionally. 

11. 

Business undertakings owned or operated by enemy subjects in 
the territories of the allies are all to be sequestrated or placed under 
control. Measures will be taken for the purpose of winding up some 
of these undertakings and realizing the assets, the proceeds of such 
realizations remaining sequestrated or under control. In addition, 
by export prohibitions which are necessitated by the internal situ- 
ation of each of the allied countries, the allies will complete the meas- 
ures already taken for the restriction of enemy supplies both in the 
mother countries and the dominions, colonies, and protectorates: 

(1) By unifying lists of contraband and export prohibition, par- 
ticularly by prohibiting the export of all commodities declared abso- 
lute or conditional contraband. 

(2) By making the grant of licenses to export to neutral countries, 
from which export to the enemy territories might take place, condi- 
tional upon the existence in such countries of control organizations 
approved by the allies, or, in the absence of such organizations, upon 
special guaranties, such as the limitation of the quantities to be ex- 
ported, and supervision by allied consular officers, etc. * * * 



I 



TRADE AGREEMENTS ABROAD. 5 

(b) TRANSITORY MEASURES FOR THE PERIOD OF THE COMMERCIAL, 
INDUSTRIAL, AGRICULTURAL, AND MARITIME RECONSTRUCTION OF 
THE ALLIED COUNTRIES. 

I. 

The allies declare their common determination to insure the rees- 
tablishment of the countries suffering from acts of destruction, 
spoliation, and unjust requisition, and they decide to join in devising 
means to secure the restoration to those countries, as a prior claim, 
of their raw materials, industrial, agricultural plant, and stock, and 
mercantile fleet, or to assist them to reequip themselves in these 
respects. 

II. 

Whereas the war has put an end to all treaties of commerce between 
the allies and enemy powers, and it is of essential importance that 
during the period of economic reconstruction the liberty of none of 
the allies should be hampered by any claim put forward by enemy 
powers to most-favored nation treatment, the allies agree that the 
benefit of this treatment will not be granted to those powers during 
a number of years to be fixed by mutual agreement among themselves. 

During this number of years the allies undertake to assure each 
other, so far as possible, compensatory outlets for trade in case con- 
sequences detrimental to their commerce should result from the appli- 
cation of the undertaking referred to in the preceding clause. 

III. 

The allies declare themselves agreed to conserve for the allied 
countries, before all others, their natural resources during the ^yhole 
period of the commercial, industrial, agricultural, and maritime 
reconstruction, and for this purpose the}' undertake to establish 
special arrangements to facilitate the interchange of these resources. 

IV. 

In order to defend their commerce and industry and their agri- 
culture and navigation against economic aggression, resulting from 
dumping or any other mode of unfair competition, the alUes decide 
to fix by agreement a period of time during which commerce with 
the enemv powers will be submitted to special treatment and goods, 
originating from their countries, will be subjected either to prohi- 
bitions or to a special regime of an effective character. The allies 
will determine by agreement through diplomatic channels the special 
conditions to be imposed during the above-mentioned period on the 
ships of enemy powers. 

The alhes will devise measures to be taken jointly or severally for 
preventing enemy subjects from exercising in their territories certain 
industries'or professions which concern national defense or economic 
independence. 



6 TRADE AGREEMENTS ABROAD. 

(C) PERMANENT MEASURES OF MUTUAL ASSISTANCE AND COLLABORA- 
TION AMONG THE ALLIES. 

I. 

The allies decide to take the necessary steps without delay to render 
themselves independent of enemy countries in so far as regards raw 
materials and manufactured articles essential to the normal develop- 
ment of their economic activities. These measures will be directed 
to assuring the independence of the allies, not only so far as concerns 
sources of supply, but also as regards their financial, commercial, and 
maritime organization. The allies will adopt such measures as seem 
to them most suita})le for the carrying out of this resolution acccord- 
ing to the nature of the commodities and having regard to the prin- 
ciples which govern their economic policy. They may, for example, 
have recourse to either enterprises subsidized and directed or con- 
trolled by the Governments themselves or to the grant of financial 
assistance for the encouragement of scientific and technical research 
and the development of national industries and resources, or to cus- 
toms duties or prohibitions of a temporar}- or permanent character, 
or to a combination of these different methods. 

Whatever may be the methods adopted, the object aimed at by the 
allies is to increase the production within their territories as a whole 
to a sufficient extent to enable them to maintain and develop their 
economic position and independence in relation to enemy countries. 

II. 

In order to permit the interchange of their products, the allies 
undertake to adopt measures facilitating mutual trade relations, both 
by the establishment of direct and rapid land and sea transport serv- 
ices at low rates, and by the extension and improvement of postal, 
telegraphic, and other communications. 

III. 

The allies undertake to convene a meeting of technical delegates 
to draw up measures for the assimilation, so far as may be possible, 
of their laws governing patents, indications of origin and trade-marks. 
In regard to patents, trade-marks, literary and artistic copyright, 
which come into existence during the war in enemy countries, the 
allies will adopt, so far as possible, an identical procedure to be 
applied as soon as hostilities cease. This procedure will be elabo- 
rated by the technical delegates of the allies. 

(D) 

Whereas for the purpose of their common defense against the 
enemy, the allied powers have agreed to adopt a common economic 
policy on the lines laid down in the resolutions which have been 
passed and, whereas it is recognized that the effectiveness of this 
policy depends absolutely upon these resolutions being put into 
operation forthwith, the representatives of the allied Governments 
undertake to recommend that their respective Governments shall 



TBADE AGEEEMENTS ABROAD. 7 

take, without delay, all the measures, whether temporary or per- 
manent, requisite to giving full and complete effect to this policy 
forthwith, and to communicate to each other the decisions arrived 
at to attain the object. 
Paris, June 17, 1916. 

Have signed these resolutions: 

For France: 
M. E. Clementel, Ministre du Commerce et de I'lndistrie. 
M. G. Doumergue, Ministre des Colonies. 
M. M. Sembat, Ministre des Travaux Publics. 
M. A. Metin, Ministre du Travail et de la Prevoyance Sociale. 
M. J. Thierry, sous-Secretaire d'Etat de la Guerre (Service de 
ITntendance) . ~ * 

M. L. Nail, Sous-Secretaire d'Etat de la Marine (Marine Mar- 
chande) . 

M. J. Cambon, Ambassadeur de France, Secretaire general du 
Ministere des Affaires etrangeres. 

M. A. Masse, Secretaire General du Ministere de 1' Agriculture. 
M. J. Branet, Directeur General des Douanes. 

M. P. de Margerie, Ministre Plenipotentiaire, Directeur des Affaires 
Politiques et Commerciales au Ministere des Affaires etrangeres. 

For Belgium: 
M. de Broqueville, President du Conseil, Ministre de la Guerre. 
M. le Baron Beyens, Ministre des Affaires etrangeres. 
M. van de Vyvere, Ministre des Finances. 
M. le Comte Goblet d'Alviella, Membre du Conseil des Ministres. 

For Great Britain: 
M. le Marquis de Crewe, Lord President du Conseil prive. 
M. A. Bonar Law, Ministre des Colonies. 
M. W. M. Hughes, Premier Ministre d'Australie. 
Sir George Foster, Ministre du Commerce du Canada. 

For Italy: 
S. Exc. M. Tittoni, Ambassadeur d'ltalie a Paris. 
M. Daneo, Ministre des Finances. 

For Japan: 
M. le Baron Sakatani, Ancien Ministre des Finances. 

For Portugal : 
M. de Docteur Alfonso Costa, Ministre des Finances. 
M. le Docteur Augusto Soares, Ministre des Affaires etrangeres. 

For Russia: 
M. Pokrowsky, Controleur de I'Empire, Conseiller prive. 
M. Prilejaieff, Adjoint au Ministre du Commerce et de 1' Industrie, 
Conseiller prive. 

ForServia: 
M. Marinkovitch, Ministre du Commerce. 



9 



8 TRADE AGREEMENTS ABROAD. ^ Uc{J 9|6 Q'^fj 

The following persons, who are diplomatic representatives of the |', 
allied countries in Paris, have been appointed as a permanent com- 
mittee of the economic conference: \ 

Belgium : 
M. G. Peltzer, vice president of the Union Economique Beige. ' 

France : 
M. Denys Cochin, minister of state, president of the' committee. 
M. Gout, minister plenipotentiary, under secretary of the foreign 
office. 

Contre Amiral Amet, vice president of the committee. '• 

Italy: '. 

Prince Ruspoli, minister plenipotentiary, Italian Embassy in Paris. |. 

Commandeur del Abbadessa, assistant general director of the cus- | 

toms. jj. 

Col. Brancaccio. | 

Japan : \ 

Tatsuke, counsellor of the Japanese Embassy in Paris. 

Great Britain: -^ 

Earl GranviUe, counsellor of the British Embassy in Paris. i« 

Portugal : T 

M. de Vilhena. 

Russia: 
Sevastopoulo, counsellor of the Russian Embassy in Paris. 
Batcheff, commercial attache at the Russian Embassy in Paris. j" 

Servia : 1 

Voulovitch, deputy. K 

Kapetanovitch, deputy. jji 

General secretary: « 

Bosseront d'Anglade, minister plenipotentiary. r 

o 



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